Module manager: Muhammad Uddin
Email: M.M.Uddin@leeds.ac.uk
Taught: Semester 2 (Jan to Jun) View Timetable
Year running 2024/25
LUBS2205 Corporate Finance OR LUBS2206 Corporate Financial Management
| LUBS2035 | Finance for Small Business |
| MATH2525 | Financial Mathematics 3 |
| MATH2540 | Financial Mathematics 3 |
This module is not approved as a discovery module
This module aims to provide students with an understanding of the underlying features and functions of futures and options, developing an appreciation and a practical understanding of the key features of major derivative instruments and the principles of derivative pricing.
Upon completion of this module students will be able to interpret and assess:
- key features of a range of derivative instruments
- ways in which financial derivatives can be used for managing risk and for trading
Upon completion of this module students will be able to:
Transferable
- Extract relevant information from structured scenarios and data in order to identify problems and define solutions
- Structure and communicate quantitative and qualitative information, ideas, analysis, argument and commentary
- Communicate in writing
- Think critically
Subject specific
- Apply derivative pricing models and identify payoffs from derivative positions
- Apply core knowledge of financial derivatives to a range of scenarios
- Competently apply their numerical and statistical skills to interrogate financial and other numerical data
Indicative content:
- An introduction to the types of derivatives, derivative markets, purpose of derivatives
- Futures and Forwards
- Mechanics of futures markets
- Determination of futures and forward prices
- Options and Option valuation
- Options Strategies
- The binomial model and the Black-Scholes model of option pricing
| Delivery type | Number | Length hours | Student hours |
|---|---|---|---|
| Lecture | 11 | 1.5 | 16.5 |
| Seminar | 5 | 1 | 5 |
| Private study hours | 78.5 | ||
| Total Contact hours | 21.5 | ||
| Total hours (100hr per 10 credits) | 100 | ||
This could include a variety of activities, such as reading, watching videos, question practice and exam preparation.
Students receive feedback through: (i) a number of MCQ tests on Minerva during the module and (ii) worksheets provided as the basis for discussion in seminars with feedback provided during the seminar and outline answers provided after the seminars.
| Exam type | Exam duration | % of formal assessment |
|---|---|---|
| Standard exam (closed essays, MCQs etc) | 2.0 Hrs 0 Mins | 100 |
| Total percentage (Assessment Exams) | 100 | |
The resit for this module will be 100% by 2 hour examination.
The reading list is available from the Library website
Last updated: 4/29/2024
Errors, omissions, failed links etc should be notified to the Catalogue Team